The Iola register., 1887-06-24
LONG AND SHORT HAUL
The Long-Expected Decision of the
Interstate Commission.
Railroads Must Judge For Themselves ~ e
Whether They are Justified In DIscrtmi.
natinS-AgGrieved Parties VIII
Then he Heard.

natinS-AgGrieved Parties Will
Then he Heard.
WASHINGTON. June 16-The Interstate
Commerce Commission rendered last night
its long-expected decision upon the .ourth
section of the Interstate Commerce act,
which prohibits = greater charge for the
transportation OF passengers and property
,vs Q shorter than over longer distance
ia the same direction, under substantially
similar circumstances and conditions. The
decision was made upon the petition Of the
Louisville Il Nashville and other railroad
companies, which were among the first to
apply for relief from the fourth section Of
the law. The decision is very long, COM
prising more than 1900 words, but the
most important feature is the announce
ment that the Commission, after mature
consideration, is satisfied the statute does
not require aud prescribe that it shall in
every instance and exceptional case grant
its order for relief before the carriers are at
liberty in their tariffs to depart from the
general rule. The carrier must judge for
himself what are substantially similar cir
cumstances and.cOnditions which preclude
special rate, rebate or drawback, which
is made unlawful by the second section,
since no tribunal is empowered to judge
for him until after the carrier has acted
and then only for the purpose OF &C.
termining whether his action constitutes
violation of the law. The carrier judges
on peril of consequence in the special
rate, rebate or drawback. AS Con-
gress clearly intended this, it must also
when using the same words in the fourth
section have intended the carrier, whose
privilege was in the same way limited by
them, should, in the same wav. act upon
his judgment of limiting CIRCUMSTANCES and
conditions. The Commission, therefore,
will not undertake to decide in advance
what constitutes or what does not cOnsti-
tute discrimination ''under substantially Y
similar circumstances and conditions but
will leave railroad companies, in fixing
their tariffs to act upon their own jutg-
ment and at their risk, subject to
accountability before the Commission
and courts in cases where complaint is
made by interested parties of violation OF
the law. For the guidance, however, OF the
railroad companies. the Commission in its
decision has considered at great length
nearly all the questions raised under the
fourth section of the law, and has reached
the conclusions which are summarized as
follows:
"First-Prohibitio in the fourth section
against greater charge for shorter than
for a longer distance over the same line in
the same direction, the shorter being in-
cluded in longer distance as qualified there
in, is limited to cases in which clrcum-
stances and conditions are substantially
similar.
''Second-The phrase under substaD-
tally similar circumstances and cOndi.
tions,' in the fourth section is used in the
same sense as in the second section, and
under the qualified form of prohibition in
the fourth section. carriers are TO Judge In
the first instance with regard to similarity
or dissimllarity of circumstances and con-
ditions that permit greater charge for
shorter distance.
."Third-The Judgment of carriers as
to circumstances and conditions is
not final, but subject to the au-
thOrity Of the Commission and courts
to decide whether it has been violated,
and IN case of complaint for violating the
fourth section OF the act, the burden OF
proof is on the carrier to justify any de-
parture from the general rule, prescribed
by the statute, by showing circumstances
and conditions substantially dissimilar.
'Fourth-The provisions of section l, re-
quiring charges to be reasonable and just,
and OF section 2, forbidding unjust dlscrim-
imation, apply when exceptional charges
are made under section 4, as they do in
other cases.
s.Fifth-The existence Of actual competi-
ton which is of controlling force in respect
to traffic, important in amount, may make
out dIssimllar circumstances and cOndi-
tions, emitting carriers to charge less for
longer than for shorter haul over same
line in the same direction, the shorter be-
ing included in the longer, in the following
cases: First, when competition is with car
riers by water, which are not subject to
the provisions of the statute; second, when
competition is with foreign or other rail-
roads which are not subject to the prOvis-
ions Of the statute; third, in rare and
peculiar cases in competition between
railroads which arc subject to the statute,
when a strict application of the general
rule of the statute would be destructive Of
competition.
"Sixth-The Commission further decides
that when a greater charge in the aggregate
is made for the transportation of passen-
gers, or like kind Of property, for
shorter than for longer distance, over the
same line, in the same direction, the shorter
being included in the longer distance, it
will not be sufficient justification therefor
that the traffic which is subjected to such
greater charge is way or local traffic. and
that which is given more favorable rates IS
nOt.''
The Commission thinks that there are
some cases in which competition between
the American roads will permit Of devia-
ton from the long and short haul clause,
and says: Zone such case IS that OF a road
extending from Pittsburgh, Pa, parallel
to the Pennsylvania railroad as far as
Youngstown and thence to Ashtabula, O.,
where, through a connection with the Lake
Shore, it gives 10 the people Of Pitts
burgh ard Youngstown competition with
the Pennsylvania road in their busi-
ness to and from New York and
New England. This route is some
what roundabout, but if the long and short
haul clause is construed strictly would de-
stroy the competition from Pittsburgh,
which city furnished the capital to build it
for the express purpose OF securing COM
petition. The Commissioners say that
they were unanimous in the opinion and
concluded it as follows: ''The order for
temporary relief made in favor Of the peti
tions will be allowed to remain in force un-
til the day originally limited for its ex-
piration."
A Knhnrv,o EYreR RuU